Standard & Poor's Ratings Services raised its long-term rating to A from A-minus on Pennsylvania Higher Educational Facilities Authority's series 2011 JJ1 and R1 bonds, issued on behalf of Mount Aloysius College.
At the same time, it raised the issuer credit rating on the college to A from A-minus. The outlook is stable.
"The upgrade reflects our view of the college's continued strong operating surpluses, stable enrollment, and strong financial resource ratios, as well as low debt for the rating category," said Standard & Poor's credit analyst Carolyn McLean.
The college has a stable management whose conservative financial practices have resulted in consistently strong margins.
The college's high reliance on student generated revenues, limited demand flexibility, and small endowment are limiting factors at the current rating.
Mount Aloysius is a small, private Catholic college in Cresson, approximately 80 miles east of Pittsburgh, with 1,637 students and 1,482 full-time equivalent students as of fall 2014.
